Preparing to own your own home for the first time can be both exciting and scary, so I’ve compiled the top mistakes made my first time home buyers. No matter whether you  are looking at foreclosures, short sales or traditional seller homes, by knowing the mistakes made by first time buyers ahead of time, you can have the knowledge to avoid these mistakes yourself. It doesn’t matter where you are looking for a home (Ahwatukee, Chandler, Gilbert, Mesa, Tempe or other parts of Phoenix), these tips will apply.

1. Going shopping before knowing how much house you can afford. First time home buyers often spend extensive time researching homes, and fantasizing about their dream home. Don’t start shopping without knowing how much you can afford for your home! However, the bank may not lend you all you can afford. So be sure to talk to a qualified lender. You need to be preapproved for a mortgage before you begin house shopping. I suggest several lenders to my buyer clients that are familiar with the Arizona lending regulations. Give me a call if you’d like names & numbers to 2 very season experts.  

1. Forgetting to budget for the additional costs of owning a home. Many first time home buyers neglect to factor in the additional fees and closing costs needed to purchase a home.  Once you are a home owner you will be responsible for property taxes, and home insurance.  Your new home may have home owner’s association (HOA) fees. As an owner, you also become responsible for repair and maintenance of your new home. Annually set aside approximately 1% of the homes purchase price for maintenance. I can help with estimates on many of these additional costs.

1. Not hiring a good buyer’s agent. A good buyer’s agent will have the expertise to find, negotiate and close the best possible home choice for you. They should help you get your financing in order and land a mortgage. Never attend an open house without having an agent.  The seller’s agent should act in the best interest of both seller and buyer, but you can see how the buyer could lose out. Ask friends and family for referrals to agents, and be sure to ask each agent about their experience (particularly if they’ve worked with first time home buyers before). Proven agents should have taken additional classroom training and designations to be current with changes in the market place.

1. Being swept away by your emotions (and showing them!). Sellers often use inexpensive tricks such as staging or minor upgrades to play on your emotions. The goal is to elicit a positive emotional response from the potential buyer (you) and use it to sell at a higher price. Even if you do fall in love with a house, don’t show your emotions to the seller or their agent as this could give them an advantage during negotiations.

1. Getting your heart set on your first offer. While today’s market is a buyer’s market, competition over homes can still ensue. You may not be able to walk into a home, make an offer, and get the home. Also, don’t assume being in escrow automatically means the house is yours. An inspection needs to be performed so you can know the physical condition of the house and avoid unforeseen repairs. The house also needs to appraise for at least the price you are offering.

1. Having a lack of vision. Don’t reject a home because of slight physical imperfections. If the home is the perfect size, in a great neighborhood don’t let the ugly paint color in the bedroom turn you away. Remember it is often cheaper to do small changes yourself than have to pay an increased home sales price because the seller did them for you. Many of the foreclosures and vacant short sales will need cosmetic work and possibly much more. That is one reason they are offered for a lower price than a maintained home.

1. Compromising on important things. Go ahead and put everything you could want on your dream home list. While you don’t want to be too picky and reject a home because it doesn’t have everything you also don’t want to accept a home that doesn’t have your necessities. If three bedrooms are necessary for your growing family it won’t be worth it to settle for two bedrooms. Prioritize your desires in your home to make a good decision on your first home purchase. It boils down to, what are your absolute “needs” vs. like to have “wants”?

As a real estate professional, it is my job to coach, guide and serve your best interests. If you need help or advice feel free to post a comment below or contact me directly.

Updated 12/2/09- With all of the Thanksgiving activities I hadn’t had a chance to give an update on the South Mountain 202 Freeway saga. The AZ Republic reported on 11/27/09 “Three of South Mountain’s most prestine and remote ridgelines would be leveled” under the current Pecos alignment as the freeway extends from the Ahwatukee side around the south westerly edge of the S Mtn perserve. ADOTs plans to “demolish 32 acres”.  This area is currently so remote nobody can get to them.  There aren’t even any trails.

Stay tuned…the sage continues. 

Posted 11/22/09- Arizona transportation officials will be meeting with Gila River Indian Community and the Bureau of Indian Affairs and with US Congressmen Harry Mitchell and Ed Pastor to discuss the possibility of the 202 being routed through tribal land instead of the current Pecos alignment. This portion of the 202 would continue west of the Chandler portion of the 202 & I-10. It would easy the traffic flow from south and west Chandler or Gilbert destined towards west Phoenix and further west.

Officials indicated the tribal route would be $500 million more to the already $1.9 billion price tag. ADOT  is still moving forward with their environment impact study, which is a requirement for any federal funded roadway.

My previous blog http://foreclosedhomeschandleraz.com/when-will-the-202-loop-be-finished/  reviewed the on-going talks. The Gila River Indian Council has rejected the possibility of routing it on tribal land twice previously.

On Oct 30, 2009 the tribe opened the new Wild Horse Pass Hotel and Casino with 242 rooms, 71 gaming tables and 1000 slot machines. They intend to draw Las Vegas style entertainment to its 1400 seat showroom.  There also is a 500 room Sheraton hotel a short distance away complete with a championship golf course, spa and other amenities.  They also have a casino near the 51^st Ave on the west side.

Can you connect the dots?  Casinos on both ends, one with a brand new hotel and you have a very vocal community along the Pecos alignment that has strongly opposed the route for years. Keep in mind if the tribal council votes no, ADOT cannot exercise eminent domain rights because the Gila River Indian Community is a sovereign nation.

If you want to express your view point, the next public discussion will be ADOT’s South MTN Citizens Advisory Committee at S Mtn. Community College Student Union, 7050 S 24^th St, Phoenix on Jan 28, 2010 at 6:00 PM. To view freeway plans go to http://www.mag.maricopa.gov/detail.cms?item=10445

When my wife and 2 daughters were looking to buy a house in the Ahwatukee/Foothills area of Phoenix over 15 yrs ago, we were told about the Freeway that would be built some day. Back then I wasn’t a Realtor. Matter of fact, I worked as an Administrative Mgr for International Paper Co near 51st Ave and I-10. The 202 Loop would have cut my commute in 1/2, so I quietly looked forward to its completion.
Well 15 yrs have come and gone. I changed careers and now I am an Associate Broker for Mira Vista Properties helping 1st Time Home Buyers and Retirement and Winter Home Buyers wade through the endless issues around Short Sales, Bank Foreclosures and the occasional traditional seller.
Not much has changed with the 202 Loop saga over those 15 yrs. I remember going to neighborhood meetings put on by AZ Dept of Transportation over 10 yrs ago. They showed plans of possible routes. Along the Ahwatukee end, they were all going down Pecos Rd because back in the 1980’s when the freeway maps were being drawn up that seems like a natural place to put it. Then came the 1990’s building boom of the “Longest Cul-de-sac in the World”. Some houses and a church were built either on the proposed Pecos 202 alignment or VERY close to it. The following year … another meeting and more talk about more studies etc, etc, etc
Well, yesterday Maricopa Association of Governments (MAG) approved the Loop 202 connecting Chandler to Laveen with an 8 lane freeway along the Pecos Rd alignment. Ahwatukee residences are still very upset. They don’t want it built. There is still talk to see if the Gila River Tribal Council would consider putting it on their land. That’s been tried twice; both times it has been voted down by the Council. Unfortunately, everybody has the attitude “not in my backyard”. Again very unfortunately, it would be literally in some people’s back yards. http://www.azcentral.com/community/ahwatukee/articles/2009/10/21/20091021freeway1022.html
Next up, you guess it, more studies. This time AZ Dept of Transportation will do the required environmental impact study for the US Dept Transportation.
Ironically, my wife and I moved to Chandler and we live closer to the Chandler completed portion of the 202 than we would have, if we had stayed in the Ahwatukee/Foothills area. Go figure.

Clean out any of those old computers, monitors, VCR, DVD, fax machines, printers, cassette, routers, telephones, stereo equipment, answering machines, calculators, typewriters that you haven’t been using. Anything that plugs in will be accepted.
Gethsemane Lutheran School in partnership with Westech Recyclers will be accepting these items on Saturday 10/17/09 from 7:00 AM to Noon at 1035 E Guadalupe RD. Tempe 480 839-0906.
Do something to help be “Green” and for a good cause, our youth.
The items that are in workable condition will be auctioned off to help support the 8th grade class for their annual educational trip and support the school’s computer learning center.
While I have no affiliation with either organization; I think something like this is a lot better choice than:
1. Leaving that “stuff” hanging around the garage collecting dust and becoming even more obsolete.
2. Tossing it in the garbage and harming the environment
For more information contact:
Stuart Rosebrock, Parents Association- GLS 480 820-5545 or 480 839-0906
Tom Holland- Westech Recyclers 602 432-4046
www.glstempe.com/GLS_Flyer1.pdf
http://www.glstempe.com/GLS_Flyer1.pdf

If you missed Part 1 see http://bit.ly/xOqmH

3. Grass Seed & Topper can be purchased at any Lowes, Home Depot or hardware store. I went to Lowes today. I was dressed in my running close from earlier so I thought it would be a perfect time. Bum around clothes are important because the Topper is not the best smelling stuff unless you grew up on a farm. I am a city boy. That reminds me I‘ve got to get my car clean to get rid of the farm smell prior to taking my next real estate client out. You ask what is Topper. On the package it says it to help “sod preparation” and establish your roots” but in reality what it really does is to hide the seed from the birds that will flock by the thousands to your yard to eat up all of your seed. Not good. Another important item is the seed should be a Perennial Ryegrass usually from Oregon. Don’t get the Annual Ryegrass. When you mow it, your shoes will turn green. Consumer tip- Home Depot has the topper for 50 cents/bag less than Lowes and they had the $1/bag mail in rebate where Lowes didn’t for some strange reason.
4. Laying it down- The big day has arrived. You have checked the long range weather forecast to determine the daytime highs will be in the 80s and all of the above has been done. Load the grass in your spreader, check the recommended grass seed spreading setting. Start by spreading the parameter and then diagonally across the grass. Run the diagonal across in the opposite direction to get the most even consistent spread. Once the seed is down, start hauling the 50 lb bags of Topper to around the yard. Open and spread to cover the seed. I use 16 bags. Cut off the barcode to use with the mail in rebate. Warning-keep your windows closed for a day.
5. Watering and waiting- until the seed is really established watering is very important. The seed should be watered lightly 3 times a day. Kept moist but not drowning or sitting in water. I set my sprinkler system to go on at 7 AM, noon and 4 PM for 5 minutes. If temps go into the 90s add more minutes. In 3-4 weeks it should be established enough to walk on and 5-6 weeks ready for the 1st mowing.
6. Repeat whole process again in roughly 11 months. I love my wife.

Every year for 15 years, since we have lived in Phoenix, I have dutifully agreed to plant a winter grass. This year was no exception. You see my wife loves the yard, loves getting her hands in the dirt and creates lovely flowering pots twice a year. I on the other hand, let’s just say I would rather be doing other things to occupy my time in the fall. No, I don’t watch much football.
For those of you that don’t live in the Valley of the Sun let me explain. The native grass that grows in our summer heat is a Bermuda type of grass but it doesn’t grow when the night temperature gets in the low 60s. Under normal conditions it will start going dormant in October and from November to April is just a dried up ugly brown grass.
This annual chore, I mean yard beautification goes something like this:
1. Turn the water off to the sprinkler system about 4 weeks prior to when you want to plant the new grass. This is tricky because in mid September it’s still well over 100 degrees and you have to predict with some accuracy when the October temperature will drop low enough. I have checked Farmer Almanacs, the US Weather Service’s and of course the local Phoenix TV station weathermen/women’s predictions. I have also been known to monitor other local landscapers and drive by golf courses to see when the real professionals are cutting their water. After much deliberation, this year I determined September 15th was the correct date.
2. Lawn preparation is critical. There are several steps to this.
a. Aeration or plugging should be done soon after you turn the water off. This requires you rent a machine that most of the time even Hercules couldn’t control but I try. This machine is weighted and kind of operates like a garden tiller but has cylinder that plug the grass and pulls out a 3” core grass. This is important for good drainage and general lawn health. It doesn’t do much for my health except make me sore for a week.
b. Dethatching is done with another machine you have to rent. I do this about every other year. Think of this process as similar to thinning out the old grass. Just like what my barber did with my thick hair when I was young. Now I wish he had not done so much of that back then.
c. Scalping the grass is just that…waiting for the Bermuda grass to dry up and cutting really short almost to the bear dirt. This should be done close to when you are ready to put the new grass down.
TO BE CONTINUED